Lowering 2024 Sales and Non-GAAP EPS Outlook
The Company's full year 2024 outlook, representing the 52 weeks ending February 1, 2025, is summarized in the table below.
| Metric | Prior Full Year Guidance | Updated Full Year Guidance | Fourth Quarter Guidance | Commentary | |
| Sales Change | -1.0% to +1.0% | -1.5% to -1.0% | -3.5% to -1.5% | ~$100 million headwind from 53rd week in 2023 | |
| Comparable Sales Change | +1.0% to +3.0% | +1.0% to +1.5% | +1.5% to +3.5% | ||
| Store Count Change | Down ~4% | Down ~4% | |||
| Square Footage Change | Down ~2% | Down ~2% | |||
| Licensing Revenue | ~$17 million | ~$16 million | ~$4 million | ||
| Gross Margin | 29.5% to 29.7% | 28.7% to 28.8% | 29.0% to 29.2% | Promotional pressure | |
| SG&A Rate | 24.1% to 24.3% | 24.0% to 24.1% | 22.3% to 22.5% | Investment spending | |
| D&A | $210 to $215 million | ~$203 million | ~$50 million | ||
| EBIT Margin | 2.8% to 3.2% | 2.3% to 2.5% | 4.5% to 5.0% | ||
| Net Interest | ~$10 million | ~$8 million | ~$2 million | ||
| Non-GAAP Tax Rate | 33.0% to 34.0% | ~34.0% | 33.0% to 34.0% | ||
| Non-GAAP EPS | $1.50 to $1.70 | $1.20 to $1.30 | $0.70 to $0.80 | Includes $0.09 drag from non-recurring FLX charge in 2Q | |
| Capital Expenditures | $275 million | $270 million | |||
| Adj. Capital Expenditures* | $330 million | $320 million | Includes ~$50 million in technology investment reflected in operating cash flows |
